“Only buy something that you’d be perfectly happy to hold if the market shut down for 10 years.”
— Warren Buffett
The Warren Buffett investment philosophy calls for a long-term investment horizon, where a decade-long holding period, or even longer, would fit right into the strategy. How would such a strategy have worked out for an investment into Akamai Technologies Inc (NASD: AKAM)? Today, we examine the outcome of a decade-long investment into the stock back in 2015.
| Start date: | 03/05/2015 |
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| End date: | 03/04/2025 | ||||
| Start price/share: | $71.09 | ||||
| End price/share: | $82.18 | ||||
| Starting shares: | 140.67 | ||||
| Ending shares: | 140.67 | ||||
| Dividends reinvested/share: | $0.00 | ||||
| Total return: | 15.60% | ||||
| Average annual return: | 1.46% | ||||
| Starting investment: | $10,000.00 | ||||
| Ending investment: | $11,560.67 | ||||
The above analysis shows the decade-long investment result worked out as follows, with an annualized rate of return of 1.46%. This would have turned a $10K investment made 10 years ago into $11,560.67 today (as of 03/04/2025). On a total return basis, that’s a result of 15.60% (something to think about: how might AKAM shares perform over the next 10 years?). [These numbers were computed with the Dividend Channel DRIP Returns Calculator.]
Another great investment quote to think about:
“Smart investing doesn’t consist of buying good assets but of buying assets well. This is a very, very important distinction that very, very few people understand.” — Howard Marks
